Dell's financial results for the first quarter of fiscal year 2027 (spanning from February 1, 2026, to May 1, 2026) revealed that the company achieved a total operating revenue of $43.842 billion, representing an 88% year-over-year (YoY) increase. The gross profit reached $7.782 billion, up 58% YoY, with a gross profit margin of 17.8%, which experienced a slight decline of 3.3 percentage points compared to the previous year. Notably, the net profit attributable to shareholders soared to $3.438 billion, marking a substantial 256% YoY jump. Operating cash flow and free cash flow stood at $4.081 billion and $3.165 billion, respectively, showing YoY growth of 46% and 42%. Basic and diluted earnings per share reached $5.30 and $5.24, respectively, surging by 281.29% and 282% YoY.

Dell's AI business shone particularly brightly during this quarter, with revenue from AI-optimized servers skyrocketing to $16.1 billion, a staggering 757% YoY increase. The company also secured $24.4 billion in AI orders. Building on this momentum, Dell raised its full-year revenue forecast for AI servers in fiscal year 2027 to $60 billion, a 144% YoY increase.

From a business segment perspective, the Infrastructure Solutions Group (ISG) reported revenue of $29.009 billion, up 181% YoY. This included $8.543 billion from traditional servers and networking, a 92% YoY increase, and $4.334 billion from storage, up 8% YoY. The Client Solutions Group (CSG) reported revenue of $14.609 billion, a 17% YoY increase, with $13.020 billion coming from commercial clients, up 18% YoY.

Additionally, Dell returned $2.1 billion to shareholders through share repurchases and dividends during this quarter.

Looking ahead, Dell anticipates revenue for the second quarter of fiscal year 2027 to range between $44 billion and $45 billion, with a midpoint of $44.5 billion, representing a 49% YoY increase. The expected midpoint for GAAP diluted earnings per share is $4.48, up 164% YoY, while the non-GAAP diluted earnings per share midpoint is projected at $4.80, a 107% YoY increase.

For the full year, Dell expects revenue to fall between $165 billion and $169 billion, with a midpoint of $167 billion, marking a 47% YoY increase and an upward revision from previous expectations. The expected midpoint for GAAP diluted earnings per share is $17.31, up 99% YoY, and for non-GAAP diluted earnings per share, it is $17.90, up 74% YoY. Full-year revenue from AI-optimized servers is anticipated to reach approximately $60 billion, a 144% YoY increase.